Xerox Corp. reported Wednesday it has completed the previously announced reverse stock split of common stock at a ratio of 1-for-4 shares, together with a proportionate reduction in the authorized shares of its common stock from 1.75 billion shares to 437.5 million shares.
The reverse stock split and authorized share reduction were approved by Xerox shareholders at the company’s annual shareholder meeting May 23. The certificate of amendment was accepted for filing by the state Department of State on Wednesday. Xerox common stock will begin trading on a split-adjusted basis at market open on Thursday.
As a result of the spinoff of the company’s business process outsourcing business, now Conduent Inc., Xerox’s market capitalization was divided. Consequently, the company proposed the reverse stock split, which is intended to increase the per share trading price of Xerox common stock and should improve its liquidity and facilitate its trading, the company said.
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